LRB-3623/1
JTK&MES:kjf&cs:nwn
December 2007 Special Session
2007 - 2008 LEGISLATURE
January 22, 2008 - Introduced by
Joint Committee on Legislative Organization,
by request of Governor James E. Doyle. Referred to Committee on Campaign
Finance Reform, Rural Issues and Information Technology.
SB1,3,2
1An Act to repeal 11.01 (12s), 11.01 (17g) and (17r), 11.05 (3) (o), 11.06 (3r), 11.06
2(3w), 11.21 (17), 11.265, 11.31 (2m), 11.50 (2) (i), 11.50 (3) and 11.50 (4);
to
3renumber 11.24 (2), 11.50 (1) (a) 1. and 11.50 (1) (a) 2.;
to renumber and
4amend 11.05 (1), 11.05 (2), 11.05 (2r), 11.12 (6), 11.26 (10), 11.50 (5) and 11.50
5(9);
to amend 5.02 (13), 7.08 (2) (c) and (cm), 8.30 (2), 8.35 (4) (a) 1. a. and b.,
68.35 (4) (b), 8.35 (4) (c) and (d), 11.05 (3) (c), 11.05 (5), 11.05 (9) (b), 11.05 (12)
7(title), 11.05 (12) (b), 11.05 (13), 11.06 (1) (intro.), 11.06 (1) (e), 11.06 (2), 11.06
8(3) (b) (intro.), 11.06 (4) (b), 11.06 (5), 11.06 (7m) (a), 11.06 (7m) (b), 11.06 (7m)
9(c), 11.07 (1), 11.07 (5), 11.09 (3), 11.10 (1), 11.12 (2), 11.12 (2), 11.12 (4), 11.12
10(5), 11.14 (3), 11.16 (2), 11.16 (2), 11.16 (3), 11.16 (5), 11.19 (title), 11.19 (1), 11.20
11(1), 11.20 (7), 11.20 (9), 11.20 (10) (a), 11.20 (12), 11.21 (2), 11.21 (15), 11.21 (16),
1211.22 (3), 11.23 (1), 11.23 (2), 11.26 (1) (intro.), 11.26 (1) (a), 11.26 (2) (intro.),
1311.26 (2) (a), 11.26 (4), 11.26 (8), 11.26 (9) (a), 11.26 (9) (a), 11.26 (9) (b), 11.26
14(9) (b), 11.26 (13), 11.30 (4), 11.31 (1) (intro.), 11.31 (1) (a) to (d), 11.31 (1) (d),
111.31 (1) (e) and (f), 11.31 (2), 11.31 (3), 11.38 (1) (a) 2., 11.38 (6), 11.38 (8) (b),
211.50 (1) (a) 1. a., 11.50 (2) (a), 11.50 (2) (b) 5., 11.50 (2) (c), 11.50 (2) (f), 11.50
3(2) (g), 11.50 (5) (title), 11.50 (6), 11.50 (9) (title), 11.50 (11) (e), 11.50 (13), 11.60
4(4), 11.61 (1) (a), 11.61 (2), 20.511 (1) (q), 20.855 (4) (b), 25.42, 71.10 (3) (a), 71.10
5(3) (a) and 71.10 (3) (b);
to repeal and recreate 11.05 (9) (title) and 11.26 (2)
6(an); and
to create 7.08 (2) (cs), 11.001 (2m), 11.01 (14m), 11.01 (16) (a) 3., 11.05
7(1) (b), 11.05 (2) (b), 11.05 (3) (m), 11.05 (3) (r), 11.05 (3) (s), 11.05 (5r), 11.06 (2m)
8(title), 11.06 (2m) (b) to (d), 11.12 (2m), 11.12 (6) (c) and (d), 11.12 (8) and (9),
911.24 (4), 11.26 (1) (am), 11.26 (2) (ad), 11.26 (2) (am), 11.26 (2) (an), 11.26 (2)
10(au), 11.26 (9) (ba), 11.26 (10) (b), 11.31 (3p), 11.31 (9), 11.38 (2m), 11.50 (1) (a)
111. (intro.), 11.50 (1) (a) 2m., 11.50 (1) (am), 11.50 (1) (bm) and (cm), 11.50 (1) (e),
1211.50 (2) (bm), 11.50 (2s), 11.50 (2w), 11.50 (4e), 11.50 (5) (b) and (c), 11.50 (9)
13(ba) and (bb), 11.50 (14), 11.501 to 11.522, 11.60 (3s) and (3u), 20.511 (1) (r),
1420.585 (1) (q), 20.585 (1) (r), 20.855 (4) (ba), 20.855 (4) (bb), 20.855 (4) (bc), 25.17
15(1) (cm), 25.421, 71.07 (6n), 71.10 (4) (ds) and 806.041 of the statutes;
relating
16to: campaign financing, designations for the Wisconsin election campaign fund
17by individuals filing state income tax returns, creating a nonrefundable
18individual income tax credit for contributions to the Public Integrity
19Endowment, candidate time on public broadcasting television stations and
20public access channels, staffing of the Government Accountability Board;
1providing exemptions from emergency rule procedures; granting rule-making
2authority; making appropriations; and providing penalties.
Analysis by the Legislative Reference Bureau
This bill makes numerous changes in the campaign financing law. The bill also
makes changes to the income tax laws, the lobbying regulation law, and the staffing
of the Government Accountability Board.
Filing of campaign finance reports
Exemptions from registration and reporting
Currently, with certain limited exceptions, any individual who accepts
contributions, makes disbursements, or incurs obligations, and any committee or
group that makes or accepts contributions, makes or transfers disbursements
(expenditures), or incurs obligations, in connection with one or more elections for
state or local office or one or more state or local referenda exceeding $25 cumulatively
within a calendar year must register and file reports with the appropriate filing
officer or agency identifying contributions received and disbursements made and
providing certain other information.
Currently, a new registrant is generally prohibited from making a contribution
or disbursement from property or funds received prior to the date of registration,
except that, if a registrant holds property or funds at the time of registration that
were not intended for political purposes in connection with an election for state or
local office at the time that they were received, the registrant may report the property
or funds as received on the date of registration and may then use the property or
funds to make a contribution or disbursement.
This bill provides that no individual who or organization which is subject to a
registration requirement may make any contribution prior to the date of
registration. In addition, the bill provides that no registrant may accept any
contribution from any individual who or organization which is subject to a
registration requirement prior to the date of registration of that individual or
organization.
Currently, a nonresident registrant need report only contributions and other
income received from sources in this state and disbursements made and obligations
incurred with respect to an election for state or local office in this state. This bill
deletes this exception to reporting requirements. The bill also requires nonresident
registrants to include in their reports a separate statement of contributions,
transfers, loans, and other income received from sources in this state and
disbursements and obligations incurred with respect to elections for state and local
office in this state. The change does not affect reporting by authorized committees
of candidates for the office of U.S. senator or representative in Congress.
Currently, a national political party committee need not file reports for any
period covered in a report filed by the committee with the Federal Election
Commission. In addition, a state political party committee which is registered with
the Federal Election Commission and which makes contributions to candidates for
national office, as well as contributions to other state political party committees,
need not file reports for any period covered by a report filed by the committee with
the Federal Election Commission if the Government Accountability Board receives
a copy of that report and the committee makes no contributions to any individual who
or organization which is required to register with a filing officer under Wisconsin law.
This bill deletes these exceptions to state reporting requirements.
Reporting thresholds
This bill provides that an individual who accepts contributions, makes
disbursements, or incurs obligations or a group that makes or accepts contributions,
makes disbursements, or incurs obligations in connection with one or more referenda
is not subject to registration and reporting requirements until the individual or
group engages in activity exceeding $100 cumulatively within a calendar year.
The bill also permits an individual or committee to claim an exemption from
reporting requirements if the individual or committee does not accept contributions,
make disbursements, or incur obligations exceeding $1,000 cumulatively within a
calendar year with respect to an election for state office, and does not accept
contributions, other than contributions made by a candidate to his or her own
campaign, exceeding $100 from a single source cumulatively within a calendar year.
If an individual or committee does not accept contributions, make disbursements, or
incur obligations with respect to an election for any state office but accepts
contributions, makes disbursements, or incurs obligations independently of any
candidate with respect to an election for local office, the bill permits the individual
or committee to claim an exemption from reporting requirements if the individual
or committee does not accept contributions, make disbursements, or incur
obligations exceeding $100 cumulatively within a calendar year.
Mass media activities
Currently, individuals who accept contributions, organizations that make or
accept contributions, and individuals who or organizations that incur obligations or
make disbursements for the purpose of influencing an election for state or local office
are generally required to register with the appropriate filing officer and to file
financial reports with that officer, regardless of whether they act in conjunction with
or independently of any candidate who is supported or opposed. Currently, with
limited exceptions, a corporation or cooperative association is prohibited from
making any contribution or disbursement for the purpose of influencing an election
for state or local office.
With certain exceptions, this bill imposes registration and reporting
requirements, in addition, upon any individual who and organization that, within
60 days of an election and by means of communications media, makes any
communication that includes a reference to a candidate at that election, an office to
be filled at that election, or a political party. The bill also requires an individual or
organization who or which becomes subject to a registration requirement by making
such a communication to report, upon registration, the information that would have
been required to be reported if the individual or organization had been registered
with respect to any obligation incurred or disbursement made for the purpose of
making such a communication prior to registration. The bill, however, does not
require registration and reporting if the communication is made by a corporation,
cooperative, or nonpolitical voluntary association and is limited to the corporation's,
cooperative's, or association's members, shareholders, or subscribers.
The bill also creates an exception to the current prohibition on disbursements
by corporations and cooperatives which permits a corporation or cooperative to make
a disbursement for the purpose of making a communication within 60 days of an
election by means of communications media that includes a reference to a candidate
at that election, an office to be filled at that election, or a political party unless the
communication is susceptible of no reasonable interpretation other than as an
appeal to vote for or against a candidate for state or local office whose name is
certified to appear on the ballot at the election. Under the bill, a corporation or
cooperative making any such communication is subject to applicable registration
and reporting requirements. The exception applies only if the communication: 1)
does not mention an election, candidacy, opposing candidate, political party, or voting
by the general public; and 2) does not take a position on a candidate's or officeholder's
character, qualifications, or fitness for office, and either a) focuses on a legislative or
executive matter or issue and urges a candidate to take a particular position or action
with respect to the matter or issue or urges the public to contact a candidate with
respect to the matter or issue, or b) proposes a commercial transaction, such as the
purchase of a book, video, or other product or service.
Special reporting by certain registrants
Currently, a committee making contributions or a candidate or other individual
or committee accepting contributions, making disbursements, or incurring
obligations in support of or opposition to a candidate is generally required to file a
report no later than the eighth day before a primary or election at which the
candidate seeks nomination or election to office. The report must disclose
contributions made or accepted, disbursements made, and obligations incurred
through the 14th day prior to the primary or election. Currently, if a candidate for
state office receives one or more contributions from a single contributor aggregating
$500 or more during the 14-day period preceding an election, the candidate must
report to the Government Accountability Board the information currently required
to be disclosed pertaining to contributions received by the candidate no later than 24
hours following receipt of any such contribution or contributions.
This bill requires each candidate at the general or a special election for a major
state office (the office of governor, lieutenant governor, attorney general, secretary
of state, state treasurer, superintendent of public instruction, justice of the supreme
court, state senator, or representative to the assembly) who does not accept a public
grant (see below) and who makes any disbursement after the candidate has
accumulated cash in his or her campaign depository or has made disbursements in
his or her campaign exceeding a combined total of 75 percent of the amount of the
disbursement limitation for the office that the candidate seeks, to file daily reports,
by electronic mail or facsimile transmission, with the Government Accountability
Board and with each candidate whose name appears on the ballot for the office in
connection with which the disbursement is made. The daily reports may be filed no
later than 24 hours after each disbursement is made, and must include the
information that is currently required to be reported pertaining to disbursements
made by candidates. The daily reports must be filed during the time period
beginning with the later of the date of the disbursement that triggers the
requirement or the seventh day after the applicable primary election or the date that
a primary would be held, if required, and ending with date of the election at which
the candidate seeks office.
The bill also creates additional reporting requirements, applicable to certain
special interest committees. Under the bill, reporting may be required of any special
interest committee, other than a conduit, that makes any disbursement (as currently
defined) or incurs any obligation independently of a candidate for the purpose of
advocating the election or defeat of a clearly identified candidate for a major state
office at the general or a special election or any applicable primary election. These
additional reporting requirements do not apply to communications that are made by
a corporation, cooperative, or nonpolitical voluntary association and that are limited
to the corporation's, cooperative's, or association's members, shareholders, or
subscribers. Under the bill, the special interest committee must file these additional
reports within 24 hours after a reportable transaction occurs.
Timeliness in filing reports
Currently, where a requirement is imposed under the campaign finance law for
filing of a report by a specified date, the requirement may be satisfied by depositing
the report with the U.S. Postal Service no later than the date provided by law for
receipt of the report.
This bill permits satisfaction of the filing requirement only by delivering a
report to the appropriate filing officer or agency on or before the date provided by law
for receipt of the report or by depositing the report with the U.S. Postal Service no
later than the third day before that date.
Disbursement limitations and independent disbursements
Under current law, disbursement (expenditure) levels are specified for
candidates for various state and local offices. These levels become a binding
limitation upon any candidate for state office who accepts a state grant from the
Wisconsin election campaign fund or who agrees to be bound by the limitation, unless
the candidate is opposed by a major opponent who could have qualified for a grant
but declines to accept one. A candidate for state office who accepts a grant from the
Wisconsin election campaign fund and who agrees to be bound by the disbursement
limitation applicable to the office which the candidate seeks may receive a grant
equal to 45 percent of that disbursement limitation, less contributions accepted by
the candidate from committees other than political party and legislative campaign
committees, if there are sufficient moneys in the fund to finance the full amount of
grants for which candidates qualify.
Current law also imposes registration and financial reporting requirements on
committees and individuals making disbursements independently of a candidate in
support of or in opposition to a candidate for a state or local office. One requirement
is the obligation of the committee or individual to file reports with the appropriate
filing officer within 24 hours of making such a disbursement, if the disbursement is
made less than 15 days before a primary or election and if the cumulative amount
of such disbursements exceeds $20.
This bill does the following:
1. It revises the current disbursement levels applicable to candidates for the
offices shown below as follows:
-
See PDF for table 
2. It creates a biennial cost-of-living adjustment that causes the statutory
disbursement levels to be adjusted biennially, beginning in 2008, in accordance with
a formula tied to the "consumer price index" determined by the U.S. Department of
Labor.
3. It provides that the current provision requiring reports of cumulative
independent disbursements exceeding $20 made later than 15 days prior to a
primary or election does not apply to a committee or individual that is required to file
a special report concerning the same disbursement (see above), nor to a committee
or individual that is subject to an electronic filing requirement (see above).
4. It increases the disbursement limitation of any candidate who accepts a
public grant by certain amounts for which matching grants from the Wisconsin
election campaign fund are potentially available (see grant eligibility requirements
and amounts, below). Under the bill, the disbursement limitation of the candidate
accepting the grant is increased by a total amount equal to: 1) the amount or value
of disbursements made by an opponent in excess of the disbursement limitation; and
2) the amount or value of independent disbursements made to expressly advocate the
defeat of the candidate or the election of his or her opponents by special interest
committees during election campaign periods, as reported to the Government
Accountability Board.
5. It repeals the procedure by which a candidate who would not otherwise be
subject to statutory disbursement limitations may voluntarily agree to comply with
these limitations.
6. It repeals the exemption from disbursement and self-contribution
limitations that currently applies to any candidate who accepts a grant from the
Wisconsin election campaign fund and who is opposed by a major opponent who could
have qualified for a grant but declines to accept one.
Contribution limitations
Under current law, committees other than political party committees and
legislative campaign committees are subject to limitations on the amount of
contributions made cumulatively to a particular candidate. A committee may
contribute up to $43,238 to a candidate for statewide office. Current law also limits
the cumulative amount of contributions that a committee may make annually to a
particular political party, limits the cumulative amount of contributions that a
political party may accept annually from a particular committee, and limits the
aggregate total of contributions that a political party may accept during any
biennium from all committees. Currently, a committee may annually contribute up
to $6,000 to a particular political party, a political party may annually accept up to
$6,000 from a particular committee, and a political party may accept up to $150,000
in contributions from all committees during any biennium.
This bill establishes specified limitations on committee contributions to
candidates for statewide office as follows: a) candidates for governor, $45,000; b)
candidates for lieutenant governor, $15,000; c) candidates for attorney general,
$25,000; and d) candidates for secretary of state, state treasurer, or superintendent
of public instruction, $10,000. Under the bill, the limitation on committee
contributions to a particular political party, and on the annual amount that a
political party may accept from a particular committee, is increased to $18,000, and
the aggregate limitation on contributions that a political party may accept during a
biennium from all committees is increased to $600,000.
Under current law, the aggregate contributions accepted by a candidate for
state or local office from all committees, when combined with any grant received from
the Wisconsin election campaign fund, may not exceed 65 percent of the
disbursement level or limitation for the office that the candidate seeks. In addition,
the contributions received by a candidate for state or local office from all committees
other than political party or legislative campaign committees, when combined with
any grant received from the Wisconsin election campaign fund, may not exceed 45
percent of the disbursement level or limitation for the office that the candidate seeks.
This bill provides that the contributions received by a candidate for state or local
office from all committees other than political party committees, when combined
with any nonsupplemental grant received from the Wisconsin election campaign
fund, may not exceed 35 percent of the disbursement level or limitation for the office
that the candidate seeks. Under the bill, a candidate who qualifies to receive a
supplemental grant from the Wisconsin election campaign fund (see below) may
exceed aggregate committee contribution limitations by an amount equal to the
amount of the supplemental grant. The bill makes the aggregate contribution limits
inapplicable to a candidate for the office of justice of the supreme court who receives
a public financing benefit from the democracy trust fund (see below).
Under current law, a candidate who accepts a grant from the Wisconsin election
campaign fund may not make contributions to his or her own campaign in an amount
or value greater than 200 percent of the contribution limitation that applies to
individuals making contributions to his or her campaign. Under the bill, if a
candidate's disbursement limitation is increased as a result of disbursements made
by an opposing candidate or independent disbursements or obligations made or
incurred by others, this self-contribution limitation is increased by an amount equal
to the ratio that the contribution limitation otherwise applicable to the candidate
bears to the disbursement limitation otherwise applicable to the candidate,
multiplied by the amount of the increased disbursement limitation authorized under
the bill for that candidate.
Treatment of legislative campaign committees
Currently, the adherents of any political party in either house of the legislature
may organize a "legislative campaign committee" to support the candidacy of
members of their party for legislative office. Committees other than legislative
campaign committees and political party committees are generally subject to a
limitation upon the contributions that they may make to candidates for legislative
office or to political parties. Legislative campaign committees are subject only to
overall limitations on the aggregate contributions that may be accepted by a
candidate from entities other than individuals.
This bill eliminates the special status of legislative campaign committees, thus
causing them to be treated in the same manner as other special interest committees
for the purpose of contribution limitations.
Other contribution restrictions
This bill prohibits contributions to incumbent partisan state officials and
candidates for partisan state office during the period from the date of introduction
of the executive budget bill through the date of enactment of the biennial budget act.
The prohibition does not apply to contributions made to an incumbent who is subject
to a recall election or to a nonincumbent candidate at a recall election beginning on
the date on which a petitioner registers an intent to circulate a petition for a recall
election against the incumbent and ending on the date of the recall election, except
that if the circulation period expires without offering of the recall petition for filing,
the filing officer determines not to file the petition, or the incumbent resigns, the
period ends on the date of that event. The prohibition also does not apply to a
candidate for a partisan state office at a special election. No similar provision exists
currently.
Currently, if a registrant receives a contribution, the registrant must deposit
the contribution in its campaign depository account no later than the end of the fifth
business day commencing after receipt, unless the registrant returns the
contribution before that time. A registrant must report the occupation and principal
place of employment of any individual who makes any contribution or contributions
to a registrant exceeding $100 in amount or value cumulatively within a calendar
year. This bill provides that whenever a registrant receives a contribution in the
form of money the registrant must obtain this information from a contributor, if
required, before depositing the contributor's contribution in its campaign depository
account. Under the bill, if the registrant does not obtain the required information
within the period prescribed for making deposits, the registrant must return the
contribution.
Disposition of residual or excess funds
Under current law, residual funds remaining when a person who is required to
register under the campaign financing law disbands or ceases incurring obligations,
making disbursements, or accepting contributions or excess funds received by a
registrant that may not be legally expended may generally be used for any lawful
political purpose, returned to the original contributors, or donated to a charitable
organization or the common school fund.
This bill allows residual or excess funds to be transferred to the Wisconsin
election campaign fund.
Wisconsin election campaign fund
Sources and uses of funds
Under current law, the Wisconsin election campaign fund is financed through
an individual income tax "checkoff." Every individual filing a state income tax return
who has a tax liability or is entitled to a tax refund may direct that $1 of general
purpose revenue be transferred to the fund. Individuals filing a joint return may
separately choose whether to direct that the $1 transfer be made. All moneys
transferred to the fund are placed in accounts for specified state offices, and
candidates for those offices may qualify for grants from the fund to be used for
specified campaign expenses. No moneys in the fund may be used for any other
purpose. The amounts of grants may be reduced if insufficient moneys are available
in the fund to finance full payment of all grants for which candidates qualify.
This bill does the following:
1. It increases the amount of the individual income tax checkoff for the
Wisconsin election campaign fund from $1 to $5, effective for tax returns filed for
taxable years beginning on or after January 1 following the day on which the bill
becomes law. Under the bill, individuals filing a joint return may separately choose
whether to make the $5 checkoff. The bill also permits individuals to determine
whether to designate their checkoffs for a "general account," which is distributed to
all candidates who qualify for a grant, or for the account of an eligible political party,
which is distributed to all candidates representing that party who qualify for a grant.
In addition, if there are insufficient moneys in these accounts to permit any
candidate who qualifies for a grant from receiving the full amount for which the
candidate qualifies, the bill provides for the deficiency to be drawn from state general
purpose revenue.
2. It directs the legal counsel to the Government Accountability Board to take
steps to incorporate a nonstock, nonprofit corporation to be known as the "Public
Integrity Endowment." The bill directs the legal counsel to ensure that the
corporation is structured so that contributions made to the foundation will be tax
deductible to the extent allowed by law. Under the bill, the sole purpose of the
endowment is to solicit contributions for the purpose of supplementing the assets of
the Wisconsin election campaign fund and transferring those contributions, after
deduction of solicitation costs, to the general account of the fund. Currently, any
person may make an unrestricted donation to the Wisconsin election campaign fund.
The donation is tax deductible to the extent allowed by law. However, the fund does
not solicit contributions.
Grant eligibility requirements and amounts
Under current law, grants from the Wisconsin election campaign fund are
available to finance specified campaign expenses of eligible candidates for the offices
of state senator, representative to the assembly, governor, lieutenant governor,
attorney general, state treasurer, secretary of state, justice of the supreme court, and
superintendent of public instruction. To receive a grant, a candidate must file an
application with the state Government Accountability Board no later than the
deadline for filing nomination papers. Following the primary election or the date on
which a primary would be held, if required, the board determines whether a
candidate who applies for a grant meets the following eligibility requirements:
1. If the candidate seeks a partisan state office at a general election, the
candidate must have received at least six percent of the total votes cast in the
primary and have won the primary. If the candidate seeks a partisan state office at
a special election, the candidate must either: a) appear on the ballot or in the column
of a political party whose candidate for the same office at the preceding general
election received at least six percent of the vote; or b) receive at least six percent of
the votes cast at the special election.
2. The candidate must have an opponent in the election.
3. The candidate must receive, during a specified time period, a specified
amount through contributions from individuals of $100 or less. For a candidate for
the office of governor, lieutenant governor, secretary of state, state treasurer,
attorney general, justice of the supreme court, or superintendent of public
instruction, the amount is five percent of the authorized disbursement level for the
office which the candidate seeks. For a candidate for the office of state senator or
representative to the assembly, the amount is ten percent of the authorized
disbursement level for the office which the candidate seeks.
Under current law, a candidate for any office who accepts a grant must comply
with statutorily prescribed contribution and disbursement limitations, unless at
least one of the candidate's opponents who received at least six percent of the votes
cast for all candidates for that office at a partisan primary, if a primary was held, does
not accept a grant and does not voluntarily agree to comply with the contribution and
disbursement limitations for that office. The maximum grant that a candidate may
receive is that amount which, when added to all other contributions accepted from
sources other than individuals, political party committees, and legislative campaign
committees, is equal to 45 percent of the authorized disbursement level for the office
which the candidate seeks. No grants are available to finance campaign expenses
in primary elections.
Currently, the Government Accountability Board must notify the state
treasurer that a candidate has qualified to receive a grant as soon as possible after
the board is able to determine that the candidate has qualified to receive the grant.
The state treasurer then has three business days to transmit the grant to the
candidate.
This bill does the following:
1. It provides that a candidate for the office of state senator or representative
to the assembly must receive contributions equal to only five percent of the
authorized disbursement level for the office which the candidate seeks in order to
qualify for a grant, but provides that the contributions of $100 or less from
individuals used by a candidate for any state office to determine eligibility for a grant
from the Wisconsin election campaign fund must be made by individuals who reside
in this state and, in the case of a candidate for legislative office, at least 50 percent
of those contributions must be made by individuals who reside in the district in which
the candidate seeks office, except that a candidate may substitute contributions
received from political party committees for not more than 50 percent of the
contributions required to be received from residents of the district.
2. It provides that the maximum grant that a candidate for state office may
receive is that amount which, when added to all other contributions accepted by the
candidate from committees other than political party committees, is equal to 35
percent of the disbursement limitation for the office that the candidate seeks, unless
the candidate qualifies to receive a supplemental grant (see below).
3. It provides that a candidate who accepts a grant shall receive a supplemental
grant in a maximum amount equal to: a) the total amount of disbursements
exceeding the amount of the disbursement limitation for that office made by an
opposing candidate who does not accept a grant; and b) the total amount of any
independent disbursements in close proximity to the election that are made by
special interest committees to oppose that candidate, or to support that candidate's
opponent, if that total amount exceeds ten percent of the disbursement limitation for
the office that the candidate seeks, except that the total supplemental grant received
by a candidate may not exceed an amount equal to three times the disbursement
limitation for the office that the candidate seeks.
4. It requires the state treasurer to electronically transmit supplemental
grants to qualifying candidates who so request as soon as possible after the
candidates qualify to receive the supplemental grants, but in no case later than the
end of the third business day after the Government Accountability Board notifies the
treasurer that a candidate has qualified to receive a grant.
Penalties for violations
Currently, violators of the campaign finance law are subject to a forfeiture (civil
penalty) of not more than $500 for each violation, except that violators of
contribution limitations are subject to a forfeiture of not more than treble the amount
unlawfully contributed. In addition, currently, any person who is delinquent in filing
a report is subject to a forfeiture of not more than $50 or one percent of the annual
salary of the office for which a candidate is being supported or opposed, whichever
is greater, for each day of delinquency.
Currently, whoever intentionally violates certain provisions of the campaign
finance law, such as registration requirements, contribution limitations, the
prohibition against making contributions in the name of another person, the
prohibition against using contributions for most nonpolitical purposes, and the
prohibition against filing false reports and statements, may be fined not more than
$1,000 or imprisoned for not more than six months, or both, if the violation does not
exceed $100 in amount or value, and may be fined not more than $10,000 or
imprisoned for not more than three years and six months, or both, if the violation
exceeds $100 in amount or value.
This bill provides that if any person, including a candidate or committee other
than a conduit, makes a disbursement to support or oppose a candidate for a major
state office (governor, lieutenant governor, attorney general, secretary of state, state
treasurer, or state superintendent of public instruction) without first reporting to the
extent required under the bill, the offender is subject to a forfeiture (civil penalty) of
not more than $500 for each day of violation. The bill also provides that if any person,
including any of these candidates or committees, makes one or more disbursements
or other expenditures for such a purpose in an amount that is more or less than the
amount reported by that person:
l. By more than five percent but not more than ten percent, the person must
forfeit four times the amount of the difference.
2. By more than ten percent but not more than 15 percent, the person must
forfeit six times the amount of the difference.
3. By more than 15 percent, the person must forfeit eight times the amount of
the difference.
Public broadcasting television stations and public access channels
Current law requires that free time on public broadcasting television stations
and public access channels be provided to candidates for state office. Under current
law, the Federal Communications Commission grants licenses for the operation of
public broadcasting television stations. Also under current law, a city, village, or
town is authorized to grant a franchise to a person that allows that person to operate
a cable television system in the city, village, or town. Under the franchise, the person
may be required to provide cable television channels that the city, village, or town
may use for public, educational, or governmental purposes. A channel that is used
exclusively for public, rather than educational or governmental purposes, is
commonly referred to as a public access channel. A city, village, or town may operate
a public access channel, or a city, village, or town may allow another person to operate
the channel. Current law requires the Government Accountability Board to
promulgate rules that require licensees of public broadcasting stations and
operators of public access channels to provide a minimum amount of free time to
candidates for state office at general, spring, and special elections. The rules must
require the same amount of time for each candidate for a particular state office, but
may require different amounts of time for different offices.
